Filenews 9 April 2022 - by Eleftheria Paizanos
A total of 113 days are available to taxpayers to submit their income statements of employee and self-employed for the tax year 2021. Yesterday, as "F" wrote a few days ago, the filing of tax returns began, which will be completed on July 31 2022. Based on the calculations of the Tax Department, it is estimated that the number of taxpayers who will submit income returns will reach 280,000.
The start of the filing of income returns was officially announced yesterday by the Department of Taxation. As we were told, the process of filling in and submitting the income returns for the 2021 tax year will be the same as in previous years. At the same time, they noted that the fields of the returns are the same as last year, which will make it easier for taxpayers, who for the 5th consecutive year submit their tax returns electronically.
In fact, tax payers estimate that, due to taxpayers' familiarity, the process will be shorter and easier. The submission of the person's income statement for the tax year 2021 is done through the TaxisNet system at the address https://taxisnet.mof.gov.cy.
At the same time as the tax return is submitted, the tax due may also be paid, without interest and charges. As of yesterday, taxpayers can proceed to temporary storage and final filing of income statements. With the temporary retention of their tax return, taxpayers can take care of it and submit it later, while after the final submission of the tax return, no changes can be made by the taxpayer. In previous years, taxpayers who, although they filled in their tax returns on time, left them in temporary custody, with the result that some people forgot to submit them permanently, were required to pay a fine.
It should be noted that those who submit their income returns from August 1st onwards will be required to pay a fine of €100, due to their non-compliance with the schedule. Employees, pensioners and self-employed persons, whose gross total income was up to €19,500, will also be exempted from the submission of tax returns for the tax year 2021**. The exception was granted by decree of the Ministry of Finance, as the legislation provides for the submission of tax returns by all taxpayers, regardless of income. The exception of this category of taxpayers was given mainly for practical reasons, as from next year the submission of tax returns will not be through TaxisNet, but through its new system will be installed.
With the mandatory submission of tax returns by all, it is estimated that the number of taxpayers will increase by 150,000. According to the relevant announcement, those taxpayers who face difficulties in completing and submitting their tax returns, has been posted on the website of the Department of Taxation www.mof.gov.cy/tax useful informative material for filling in and submitting the Return, under the icon "Personal Income Statement 2021". For the tax year 2020, more than 27,000 employees and self-employed have submitted their tax returns. Moreover, for the tax year 2019, more than 290,000 were submitted.
** Once you have been resident in Cyprus for 17+ years, there is the defence levy to pay regardless of your annual gross income and so returns need to be submitted. Taxisnet info
